May 19, 2013

Myanmar Investment Commission approves 33 companies in first quarter

Myanmar Investment Commission (MIC) has granted licenses to 33 companies within the first four months the year, whose total investment amounts to US$815 million, report says.

The list includes 15 garment factories and other companies from the energy related industry, car manufacturing, information technology, and food and beverages, according to MIC.

Garment factories has received Generalized System of Preferences (GSP) granted by European Union, and countries like Japan, Korea, and China have shown special interest in opening garment factories in Myanmar. Beverages companies have also entered the domestic market.

"Joint ventures were allowed for beverage industry in accordance with the Foreign Investment Law. In a case, foreign investors have been granted 95 per cent, and only 5 per cent was for the local investors," said Dr Sai Sam Tun, chief executive officer of leading local beverage company Loi Hein.

“It is impossible to compete against giant soft drink producers like Pepsi or Coca Cola. There are very few chances for local entrepreneurs to win the game. In addition, foreign companies are ready to expand business in Myanmar,” he added.

Source: Eleven Weekly Media